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Check Before You Invest : Global Vectra Helicorp Ltd

BSE: 532773 NSE: GLOBALVECT ISIN: INE792H01019
  |   Sector:  Travel & Hospitality   |   Industry:  Airlines

Snapshot

Q.1 Which industry/sub-sector does Global Vectra Helicorp Ltd belong to?
Global Vectra Helicorp Ltd belongs to the Travel & Hospitality sector, operating specifically within the Airlines segment.
Q.2 Is Global Vectra Helicorp Ltd a good quality company?
Global Vectra Helicorp Ltd is a good quality company, based on a consistently good multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is Global Vectra Helicorp Ltd undervalued or overvalued?
Global Vectra Helicorp Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios Current 5-year
Historic Median
Price to Earnings - -
Price to Book -47.84 4.14
Price to Sales 0.49 0.30
EV to EBITDA 3.89 2.23
Q.4 Is Global Vectra Helicorp Ltd a good buy now?
Global Vectra Helicorp Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

We have analysed the performance of the company on the following:

  • How has it performed on generating Profits?

    By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.

  • How efficiently has it utilized Capital?

    By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.

  • How is it managing its Debt?

    By checking its Debt to Equity and Cash Flow from Operations.

A: What are the trends in revenue and profit margins?

Q.1 Revenue growth of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd revenue growth is 7.9% for FY-2025, which is above its 5-year CAGR of 3.49%, indicating faster growth.

Q.2 Gross Profit margin of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd Gross profit margin which is the profit after deduction of direct costs, is 13.5% for FY-2025, which is in line with its 5-year median of 13.9%, indicating stable margins.

Q.3 Operating Profit Margin of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 10.88% for FY-2025, which is below its 5-year median of 13.94% indicating decreasing margins.

Q.4 Net Profit Margin of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd Net Profit Margin is -0.12% for FY-2025, is above its 5-year median of -1.47%, indicating increasing margins.
Current Level 5-year
Historic Median
Gross Profit Margin (%) 13.5 13.9
Operating Profit Margin (%) 10.88 13.94
Net Profit Margin (%) -0.12 -1.47

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd Return on Asset is -0.08%, which is above its 5-year historical median of -0.69%, indicating improved asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd Return on capital employed is 28.74% for FY-2025, which is above its 5-year historical median of 9.69%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.7 Return on Equity (ROE) of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd Return on equity is -3.02% for FY-2025, which is above its 5-year historical median of -11.11%, indicating the business is making better use of its shareholders capital.

Q.8 Cash conversion cycle of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd Cash conversion cycle is -82 days, in line with its 5-year historical median of -82 days, indicating stable working capital management. However, you need to compare this with its peers in the industry.
Current Level 5-year
Historic Median
Asset Turnover (x) 0.63 0.55
ROE (%) -3.02 -11.11
ROCE (%) 28.74 9.69
Cash Conversion Cycle -82 days -82 days

C: How much debt does the business have and is it at a sustainable level?

Q.9 Debt to Equity ratio of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd Debt-to-Equity ratio is 4.79, which is above the industry average of 0.10, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Global Vectra Helicorp Ltd?
Global Vectra Helicorp Ltd Debt to cash flow from operations is 1.04, which is at a healthy level.

Ownership & governance

D: Promoter shareholding and pledge status of Global Vectra Helicorp Ltd?

Q.1 Promoter shareholding and pledge status of Global Vectra Helicorp Ltd?
Promoters hold 75.00% of the Global Vectra Helicorp Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does Global Vectra Helicorp Ltd performance compare with that of its Peers?

Q.1 Revenue growth of Global Vectra Helicorp Ltd vs industry peers?
Global Vectra Helicorp Ltd revenue CAGR is 3.49%, compared to the industry median CAGR of -7.82%, indicating faster growth and gaining its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth (%) 7.9 -7.8
Gross Profit Growth (%) -1.4 -2.7
Operating Profit Growth (%) -36.1 -9.8
Net Profit Growth (%) -200 0.4
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover (x) 0.63 0.55
ROE (%) -3.02 9.27
ROCE (%) 28.74 10.95
Cash Conversion Cycle (days) -82.15 -

Valuation & price assessment

Q.1 Stock return of Global Vectra Helicorp Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 6% based on the current price.
9Y 5Y 3Y 1Y
Share Price
CAGR
6% 34% 46% -10.2%
Q.2 Valuation ratios of Global Vectra Helicorp Ltd vs historical?
The current P/E ratio of 0 is in line with than its historical median of , indicating that the stock is trading near its historical average valuation.
Q.3 How do the current valuation ratios compare with 5-year historical median and industry numbers?
Valuation Ratios Current 5-year
Historic Median
5-year
Industry Median
Price to Earnings - - 50.85
Price to Book -47.84 4.14 4.43
Price to Sales 0.49 0.30 3.43
EV to EBITDA 3.89 2.23 9.32

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